TOKYO (Reuters) - Japan's Sharp Corp (T:6753) is set to sell its U.S.-based solar energy development unit Recurrent Energy to Canadian Solar Inc (O:CSIQ) for about 30 billion yen ($247 million), the Nikkei business daily said on Sunday.
Sharp aims to reach a basic agreement with the Canadian firm by the end of the month and complete the sale by spring, the report said, without citing sources. The Japanese firm could not be immediately reached for comment.
Sharp paid $305 million in cash in 2010 to acquire Recurrent Energy. Selling the company now would help Sharp to raise capital as it struggles to raise its equity ratio to a healthy level.
This year, Sharp shut down its UK solar plant and also pulled out of a venture with Italian energy firm Enel SpA (MI:ENEI) to make solar panels and generate solar power.
(Reporting by Osamu Tsukimori; Editing by Kim Coghill)